
Poorly endowed with
natural resources, Djibouti is heavily dependent on foreign aid and earnings from its free
port. More than two-thirds of the population live in the port city of Djibouti. Formerly
French Somaliland, and also known as the French Territory of the Afars and Issas from 1967
to 1977, the country gained its independence in 1977.
The economy is based
on service activities, mainly services as both a transit port for the region and an
international trans-shipment and refueling centre. Since the conflict between Ethiopia and
Eritrea in 1998, the port of Djibouti is serving as the entry and exit point for Ethiopia
for import and export of goods. Djibouti embarked on a democratic reform in the early
1990s.
Djibouti has a well
developed telecommunications network. In 1998, the number of connected telephone lines was
approximately 8,800, resulting in a telephone density of 1.40 line per hundred
people, one of the highest in the East Africa region.
Back to Top